When Do I Use Starch When Ironing

FINANCIAL LIABILITIES Fixed Term Deposits

Debit or payables as SMEs Plan:

initial rating by the cost, which amounts to fair value of the consideration received adjusted for transaction costs directly attributable to them; however, these past, as well as financial commitments to be charged to the company when debts originate with third parties, may be recorded in the profit and loss upon initial recognition.

Subsequent measurement at amortized cost. Accrued interest is credited to the profit and loss account using the method effective interest rate.

Notwithstanding the foregoing, the debts with a maturity not exceeding one year, according to be initially measured at their nominal value, will continue to be valued for that amount.

Here there is a difference between financial liabilities measured at amortized cost according to the PGC PGC Normal and according to the SME, and the latter have the potential to lead to P & G the initial costs of the contract, so the amortized cost, is actually the capital outstanding, and the effective interest rate on the loan will be nominal.

A practical example of setting a loan under Normal General Plan is the next while the case of using the Plan of SMEs will not have changed the accounting for the loan and will not do any adjustment.

Leasing:

Similarly happen to the leases, which must be accounted for under the amortized cost, the latter being for those who opt for the SME Plan, optionally, the slope Capital leasing.

Care: If you have recorded deferred interest expense of leasing the 272 in the opening entry in 2008 will have to take them to a reserve account, while making the adjustment in the 170 to reflect the amortized cost, which will record the tax effect as explained in the previous example.